8:04 am, May 28, 2025
Dealer group Hartwell saw its profits tumble in 2024 with bosses saying the result reflects a ‘challenging yet resilient year’.
Accounts recently published via Companies House show that Hartwell Plc made a pre-tax profit of £301,000 in the 12 months ending November 30.
That figure represents a decline of almost 70% on the previous year’s result, which was itself well down on 2022’s profit of £3.17m.
The shrinking profits came as turnover also fell for the Oxfordshire-based dealer group, with revenues for the year coming in at £247.53m, compared to £250.43m last time out.
After tax had been paid, the firm actually made a loss of £1.75m, having previously reported a profit of £672,000 in 2023.
In a statement included in the accounts, bosses said that while demand for used cars had remained high, the year saw challenges with ‘sourcing quality stock at competitive prices.
They also pointed to a decline in new car sales and a ‘notable reduction in manufacturer bonuses’.
Writing in the documents, director Kayleigh Rowe, said: ‘Notwithstanding strong demand for used vehicles and service and repair work, the financial performance for the year ending 30th November 2023 reflected a challenging yet resilient year.
‘Despite the sustained high demand for used cars, challenges persist in sourcing quality stock at competitive prices.
‘We continue to consider used stock car management to be a primary focus area. New vehicle sales saw a decline in volume, reflecting broader market challenges.
‘While profit margins remained intact, the downturn was further compounded by a notable reduction in manufacturer bonuses putting additional pressure on overall new revenue and profitability.’
The accounts show that while Hartwell’s number of sites remained unchanged at 11 throughout the year, a number of new franchise partners have been added.
These include Chinese disruptors like BYD, GWM and Omoda, which bosses say have shown a ‘promising start’.
The documents also reveal that the vast majority of Hartwell’s turnover came from the sale of vehicles and parts, which generated £237.42m, as well as a further £10,01m from servicing and £94,000 from finance arrangements.
Like most dealer group’s, the firm also faced mounting staffing costs, with wages and salaries totalling £12.96m throughout the year – up almost 4%.
Despite the difficult set of results, directors’ remunerations rose by more that 7% to £535,000.
Meanwhile, the directors did not recommend the payment of a dividend.
